The Arizona State Senate is currently deliberating a proposal that aims to promote the inclusion of Bitcoin exchange-traded funds (ETFs) in the state’s retirement portfolios. Records indicate that the resolution is undergoing a second review by the House, following its successful passage in the Senate with a vote of 16-13 on February 22.
If approved, the proposal would encourage the Arizona State Retirement System (ASRS) and the Public Safety Personnel Retirement System (PSPRS) to explore the possibility of adding exposure to Bitcoin ETFs within their respective portfolios, as stated in official records.
The Bitcoin retirement resolutions were initially introduced and presented to the Senate on January 30, 2024. The resolutions call for the ASRS and PSPRS to closely monitor the developments in the Bitcoin ETF industry and assess the potential implications of allocating Bitcoin ETFs to their retirement portfolios. This process would involve consulting with firms that offer SEC-approved Bitcoin ETFs.
A detailed report outlining the feasibility, risks, potential benefits, and safety measures associated with incorporating Bitcoin ETF exposure would need to be submitted to Arizona’s State Treasurer, President of the Senate, and Speaker of the House of Representatives. The document also mentions that other digital asset ETFs will be taken into consideration.
Dennis Porter, CEO of Satoshi Action Fund, believes that this move can be seen as a strategic initiative to enhance portfolio diversification and reduce investment risk. He suggests that even a small amount of Bitcoin ETF exposure could significantly mitigate risk within an asset portfolio. Porter explained on X, “By considering #Bitcoin ETFs, Arizona is looking to leverage the inherent value and potential stability offered by #Bitcoin, akin to traditional safe-haven investments like gold.”
Earlier this year, John Palmer, President of the Chicago Board Options Exchange, expressed his anticipation that the approval of a spot Bitcoin ETF would open the doors for pension and retirement investment accounts to invest in Bitcoin through ETFs.
In a separate report, it was revealed that Australian tax data indicates a growing interest in holding cryptocurrencies for do-it-yourself retirement plans. Additionally, the article provides a list of the best and worst countries for crypto taxes, along with some insightful crypto tax tips.